The major currencies around the world that Bitcoin will begin to crush in 2020

Since the beginning of 2020, the price of Bitcoin has surged between 50% and 128% against other currencies around the world, and analysts believe the trend is likely to continue.

Data from an anonymous analyst compared Bitcoin’s (BTC) performance relative to other currencies around the world since the beginning of 2020.

Data shows that Bitcoin has risen by 50% to 128% against the world's major currencies.

Bitcoin's performance against various global currencies. Source: DriftwoodPalace

Analysts say:

“Updating the relative price of Bitcoin in various currencies and over different timeframes from YTD, prices range from 57% gains in Euro to 100% gains in Argentina, Brazil, South Africa, Russia, Turkey, etc. (prices are based on official USD exchange rates and may differ).”

Bitcoin typically performs significantly better against currency depreciation when inflation is high. For example, Bitcoin against the Argentine Peso recorded a 53.9% gain in 2019, the highest in nearly 30 years.

This year, Bitcoin is up 128.4% against the Brazilian real and 103.5% against the Argentine peso. The digital asset has also recorded gains of 56% to 69% against reserve currencies such as the U.S. dollar and the euro.

The Venezuelan Bolivar is also experiencing a strong decline against Bitcoin amid uncontrolled hyperinflation. The unstable nature of many economies in Latin America has often led to record highs in peer-to-peer Bitcoin transactions in Venezuela and Argentina.

Since the beginning of 2020, prominent Wall Street investors like billionaire Paul Tudor-Jones have described Bitcoin as a potential hedge against inflation. MicroStrategy, a $1 billion U.S. public company, also recently purchased $250 million worth of Bitcoin as its primary treasury asset.

Bitcoin’s strong performance against all global currencies year-to-date may reinforce the argument that Bitcoin is evolving into a store of value.

It is also important to note that the price of Bitcoin fell more than any other commodity or index in March 2020. This is because on BitMEX, the price fell by 65% ​​to $3,596.

Despite this, Bitcoin has rebounded strongly, hitting a new yearly high of over $12,400 and reaching a year-to-date gain of 244% at its peak that month. An anonymous analyst highlighted Bitcoin’s strong momentum:

“Bitcoin’s crash at the beginning of this year was worse than any other commodity or index. Almost no index or asset has recovered these losses except Bitcoin. At the same time, since mid-February, Bitcoin has fallen against all national currencies.

They range from 6% in Sweden to 50% in Brazil and Zambia.”

Based on Bitcoin’s positive price trend and its strong performance against reserve currencies, strategists believe that Bitcoin could continue to prosper amid the current economic uncertainty.

Meltem Demirors, Chief Strategy Officer at CoinShares, said:

“Where is Bitcoin in the economic cycle? During times of economic uncertainty and dollar weakness, Bitcoin will likely benefit in the same way as gold. If the financialization of Bitcoin continues, it will be impossible to separate from the financial system.”